Announcing the Version One Opportunity Fund


This post is curated by Keith Teare. It was written by boris. The original is [linked here]

It has been almost 10 years since Union Square Ventures launched the first Opportunity Fund, creating a strategy that has since been copied by many other VC’s. An opportunity fund is basically a separate pool of capital that allows a VC to continue to invest in its most promising portfolio companies once the core funds have exhausted their follow-on reserves. This puts the VC firm and its investors in a position to continue to exercise their pro-rata rights in later-stage rounds instead of giving them up. 

Besides doubling and tripling down on existing portfolio companies, opportunity funds sometimes have the mandate to be able to invest in later-stage companies outside of the existing portfolio…companies that the VC missed in earlier rounds of financing but are squarely in their investment focus.

We at Version One have long been thinking about an Opportunity Fund for our firm, but only recently decided that we should actually pursue this strategy. I am hence very happy to announce the Version One Ventures Opportunity Fund I with CAD $25m in commitments. The mandate of the fund is to invest in the most successful companies from Fund I (2012 vintage) and Fund II (2014 vintage).

What changed our mind to pursue an Opportunity Fund? Three factors are at play: 

Announcing the Version One Opportunity Fund


This post is by boris from Version One

It has been almost 10 years since Union Square Ventures launched the first Opportunity Fund, creating a strategy that has since been copied by many other VC’s. An opportunity fund is basically a separate pool of capital that allows a VC to continue to invest in its most promising portfolio companies once the core funds have exhausted their follow-on reserves. This puts the VC firm and its investors in a position to continue to exercise their pro-rata rights in later-stage rounds instead of giving them up. 

Besides doubling and tripling down on existing portfolio companies, opportunity funds sometimes have the mandate to be able to invest in later-stage companies outside of the existing portfolio…companies that the VC missed in earlier rounds of financing but are squarely in their investment focus.

We at Version One have long been thinking about an Opportunity Fund for our firm, but only recently decided that we should actually pursue this strategy. I am hence very happy to announce the Version One Ventures Opportunity Fund I with CAD $25m in commitments. The mandate of the fund is to invest in the most successful companies from Fund I (2012 vintage) and Fund II (2014 vintage).

What changed our mind to pursue an Opportunity Fund? Three factors are at play: 

Recapping Q4 2019

Happy New Year! Here at Version One, we are very excited for 2020, but before we kick off a new year, we want to recap some of the highlights from last quarter. Q4 2019 was a busy quarter for us, and here’s some select news on the Version One family.  Let’s ride the momentum into 2020!

Fundraises and accolades

We announced our investment in Scanwell Health, which closed a $3.5M seed round. They provide accessible, at-home testing for everyone – starting with at-home testing for urinary tract infections.

We also announced our participation in Nexus Mutual, an Ethereum-based insurance mutual, that can create an alternative risk sharing platform and bring insurance back to the people. If you missed it, you can read our announcement here.

Congratulations to Manny Medina and everyone at Outreach, which was named the Fourth Fastest Growing Company in North America on Continue reading “Recapping Q4 2019”